The action was hot and heavy in the US stock market, buffeted by conflicting winds early and late in the session. Following higher Asian stocks and mixed European markets, US stocks opened sharply higher. The main factor was a very positive private payrolls report, showing an increase of 263,000 -- well above expectations.
The Dow jumped nearly 200 points in the first hour of trading, but then gradually eased a bit lower. Then it was hit with news that the Fed plans to "unwind" its $4.5 trillion in bonds towards the end of the year. That means selling bonds, which should push bond prices lower, and have the same effect as an interest rate increase. The market didn't like that, and quickly tumbled. At the closing bell, the Dow Industrials were down 41 points, the S&P 500 down 7, and the NASDAQ fell 34 points, for a notable key reversal trading ... Log in or subscribe to continue reading.
Premium Content Notification
A subscription is necessary to access premium content.
Please use the button below to subscribe in order to access all premium articles